Economy, Business And Markets

7-Day Losing Streak at TSE

7-Day Losing Streak at TSE
7-Day Losing Streak at TSE

The Tehran Stock Exchange (TSE) investors are still spooked by bearish trade at the TSE, after the TEDPIX ended another seesaw trading day in red at Tuesday close, to accumulate up to 4.3 percent loss within 10 consecutive trading days.

Nothing but unsettled investment trading is to blame as share prices are swinging day by day.

Media outlets are churning out upbeat news about a boost in oil prices, dramatic surge in oil export to Japan, fund managers’ lineups to find hidden potential of the world’s last untapped market, as well as a lot more positive news to be digested by investors however the TSE has been hit by lack of optimism over improving economic prospects in the next few months.

As Iran is opening to the world, it is attracting more than just energy firms. Carmakers, aircraft and tobacco producers also make the list of companies that analysts from Natixis Securities to Jefferies say may invest in the nation if the April 2 agreement with world powers results in an end to western sanctions, Bloomberg reported.

According to TSE data, the benchmark extended its downbeat performance and edged down 68.6 points or 0.1 percent to settle at 66,508.2.

The first market index was down 188.2 points or 0.39 percent to 47,897.2. The second market index as the only positive contributor to the TSE’s gauge rose 776.6 points or 0.6 percent to stand at 131,189.6. The free float index slipped 150.1 points or 0.2 percent to 75,782.7. The industry index tumbled 81.1 points or 0.15 percent to end at 53,624, and the blue-chip index also was down 1.6 points or 0.05 percent to finish at 3,025.1.

Persian Gulf Petrochemical Industry Company (PGPIC) topped the TEDPIX positive contributors, after launching the Initial Public Offering for Mobin Petrochemical Company.  Mapna Group and Bank Mellat with tepid surge stood after the PGPIC.

Bandar Abbas Oil refining Company dramatically altered its sentiment, and heavily weighed on the benchmark. Esfahan Oil Refining Company and Islamic Republic of Iran Shipping Lines with close to 48 and 19 points took the second and third place respectively.

The trade volume and value were accompanied by tangible growth in comparison with prior trading day, with the MBC, as the TSE’s newcomer, surpassing other listed firms regarding the trade volume and value.

More than 1.41 billion shares changed hands, valued at 3.77 trillion rials.

 Fresh IPO

As it was planned, close to 7 percent of the MBC, which accounts for more than 997 million shares, was sold out by PGPIC through IPO in less than 70 seconds.

Commenting on the MPC’s IPO, head of the PGPIC, Adel Salim Nejad went on to say that the MPC’s shares value is more than what have been discovered within the IPO, bourspress reported. “The value is more than 2,900 rials per share.”

The MPC is being listed as the 490th company at the TSE, worth more than $427 million.